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ooo, useful info!

Why this rather than a lid? That looks like a potential fire, with the paper right near the open flame!

Pixie, I've used it on a baked item called a panade but . . .
Parchment doesn't make a complete seal, so it lets out some heat/moisture. Probably more about the heat, come to think of it . . . when you put a cast iron lid on a cast iron pot, the heat builds up significantly, but not so with parchment paper.

It sits inside the vessel instead of open to flame.

...plus, when it comes to professional kitchens (where these tend to be used more commonly) this is pretty low on the list of potential fire hazards. Comparatively speaking. :-)